Mukherjee, Arijit; Ray, Achintya - In: Economics of Innovation and New Technology 16 (2007) 3, pp. 227-236
cost of imitation is not very large, prisoner's dilemma occurs under process patent, thus creating lower profit of each … firm under process patent than under product patent. Welfare is higher under process (product) patent for very small (not … very small) cost of imitation. Although the possibility of cross-licensing never makes lower welfare under process patent …